[Federal Register Volume 78, Number 68 (Tuesday, April 9, 2013)]
[Notices]
[Pages 21107-21109]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2013-08236]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-489-502]


Circular Welded Carbon Steel Pipes and Tubes from Turkey: 
Preliminary Results of Countervailing Duty Administrative Review; 
Calendar Year 2011

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.
SUMMARY: The Department of Commerce (the Department) is conducting an 
administrative review of the countervailing duty (CVD) order on 
circular welded carbon steel pipes and tubes from Turkey (pipes and 
tubes from Turkey) for the period of review (POR) of January 1, 2011, 
through December 31, 2011. The review covers the following three 
producers/exporters of subject merchandise: Borusan Group, Borusan 
Mannesmann Boru Sanayi ve Ticaret A.S. (BMB), and Borusan Istikbal 
Ticaret T.A.S. (Istikbal), (collectively, Borusan); Erbosan Erciyas 
Boru Sanayi ve Ticaret A.S. (Erbosan) and Erbosan Erciyas Pipe Industry 
and Trade Co. Kayseri Free Zone Branch (Erbosan FZB), (collectively 
Erbosan); and Tosyali dis Ticaret A.S. (Tosyali) and Toscelik Profil ve 
Sac Endustrisi A.S. (Toscelik Profil), (collectively, Toscelik). We 
preliminarily determine that Borusan, Erbosan, and Toscelik received 
countervailable subsidies during the POR but that the companies' 
respective total net subsidy rates are less than 0.5 percent ad valorem 
and, therefore, are de minimis.

DATES: Effective Date: April 9, 2013.

FOR FURTHER INFORMATION CONTACT: Jolanta Lawska at 202-482-8362 (for 
Borusan and Erbosan) at 202-482-8362 and John Conniff at 202-482-1009 
(for Toscelik), AD/CVD Operations, Office 3, Import Administration, 
International Trade Administration, U.S. Department of Commerce, 14th 
Street and Constitution Avenue NW., Washington, DC 20230.

Scope of the Order

    The products covered by this order are certain welded carbon steel 
pipe and tube with an outside diameter of 0.375 inch or more, but not 
over 16 inches, of any wall thickness (pipe and tube) from Turkey. 
These products are currently provided for under the Harmonized Tariff 
Schedule of the United States (HTSUS) as item numbers 7306.30.10, 
7306.30.50, and 7306.90.10. Although the HTSUS subheadings are provided 
for convenience and customs purposes, the written description of the 
merchandise is dispositive.

Methodology

    The Department has conducted this review in accordance with section 
751(a)(1)(A) of the Tariff Act of 1930, as amended (the Act). For each 
of the subsidy programs found countervailable, we preliminarily 
determine that there is a subsidy, i.e., a government-provided 
financial contribution that gives rise to a benefit to the recipient, 
and that the subsidy is specific. See sections 771(5)(B) and (D) of the 
Act regarding financial contribution; section 771(5)(E) of the Act 
regarding benefit; and, section 771(5A) of the Act regarding 
specificity. For a full description of the methodology underlying our 
conclusions, please see Decision Memorandum for Preliminary Results of 
Countervailing Duty (CVD) Administrative Review: Circular Welded Carbon 
Steel Pipes and Tubes from Turkey (Preliminary Decision Memorandum) 
from Edward C. Yang, Senior Director China/Non-Market Economy Unit, to 
Paul Piquado, Assistant Secretary for Import Administration, dated 
concurrently with these results and hereby adopted by this notice.
    In making these findings, we have relied, in part, on an adverse 
inference in selecting from among the facts otherwise available because 
one of our respondents, Erbosan, did not act to the best of its ability 
to respond to the Department's requests for information as it pertains 
to the ``Deduction from Taxable Income for Export Revenue'' program. 
See section 776(a) and (b) of the Act.
    The Preliminary Decision Memorandum is a public document and is on 
file electronically via Import Administration's Antidumping and 
Countervailing Duty Centralized Electronic Service System (IA ACCESS). 
IA ACCESS is available to registered users at http://iaaccess.trade.gov 
and in the Central Records Unit (CRU), room 7046 of the main Department 
of Commerce building. In addition, a complete version of the 
Preliminary Decision Memorandum can be accessed directly on the 
Internet at http://www.trade.gov/ia/. The signed Preliminary Decision 
Memorandum and the electronic versions of the Preliminary Decision 
Memorandum are identical in content.

Preliminary Results of Review

    The Department has determined that the following preliminary net 
subsidy

[[Page 21108]]

rates exist for the period January 1, 2011, through, December 31, 2011:

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                   Company                                              Net subsidy rate
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Borusan Group, Borusan Mannesmann Boru Sanayi  0.24 percent ad valorem (de minimis).
 ve Ticaret A.S. (Borusan).
Erbosan Erciyas Boru Sanayi ve Ticaret A.S.    0.30 percent ad valorem (de minimis).
 (Erbosan).
Toscelik Profil ve Sac Endustrisi A.S.         0.29 percent ad valorem (de minimis).
 (Toscelik).
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Assessment and Cash Deposit Requirements

    The Department intends to issue assessment instructions to U.S. 
Customs and Border Protection (CBP) 15 days after the date of 
publication of the final results of this review. If the final results 
remain the same as these preliminary results, the Department will 
instruct CBP to liquidate without regard to countervailing duties all 
shipments of subject merchandise produced by Borusan, Erbosan, and 
Toscelik, entered, or withdrawn from warehouse, for consumption from 
January 1, 2011, through December 31, 2011. The Department will also 
instruct CBP to collect cash deposits of zero percent on shipments of 
the subject merchandise produced by Borusan, Erbosan, and Toscelik 
entered, or withdrawn from warehouse, for consumption on or after the 
date of publication of the final results of this review.
    We will instruct CBP to continue to collect cash deposits for non-
reviewed companies at the most recent company-specific or country-wide 
rate applicable to the company. Accordingly, the cash deposit rates 
that will be applied to companies covered by this order, but not 
examined in this review, are those established in the most recently 
completed administrative proceeding for each company. These rates shall 
apply to all non-reviewed companies until a review of a company 
assigned these rates is requested.

Disclosure and Public Comment

    The Department will disclose to parties to this proceeding the 
calculations performed in reaching the preliminary results within five 
days of the date of publication of these preliminary results.\1\ 
Interested parties may submit written comments (case briefs) within 30 
days of publication of the preliminary results and rebuttal comments 
(rebuttal briefs) within five days after the time limit for filing case 
briefs.\2\ Pursuant to 19 CFR 351.309(d)(2), rebuttal briefs must be 
limited to issues raised in the case briefs. Parties who submit 
arguments are requested to submit with the argument: (1) A statement of 
the issue; (2) a brief summary of the argument; and (3) a table of 
authorities. All briefs must be filed electronically using Import 
Administration's Antidumping and Countervailing Duty Centralized 
Electronic Service System (IA ACCESS). An electronically filed document 
must be received successfully in its entirety by the Department's 
electronic records system, IA ACCESS.
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    \1\ See 19 CFR 351.224(b).
    \2\ See 19 CFR 351.309(c)(1)(ii) and 351.309(d)(1).
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    Interested parties who wish to request a hearing, or to participate 
if one is requested, must submit a written request to the Assistant 
Secretary for Import Administration, U.S. Department of Commerce, using 
Import Administration's IA ACCESS system.\3\ Requests should contain 
the party's name, address, and telephone number, the number of 
participants, and a list of the issues to be discussed. If a request 
for a hearing is made, we will inform parties of the scheduled date for 
the hearing which will be held at the U.S. Department of Commerce, 14th 
Street and Constitution Avenue NW., Washington, DC 20230, at a time and 
location to be determined.\4\ Parties should confirm by telephone the 
date, time, and location of the hearing.
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    \3\ See 19 CFR 351.310(c).
    \4\ See 19 CFR 351.310.
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    Unless the deadline is extended pursuant to section 
751(a)(2)(B)(iv) of the Act, the Department will issue the final 
results of this administrative review, including the results of our 
analysis of the issues raised by the parties in their comments, within 
120 days after issuance of these preliminary results.
    These preliminary results of review are issued and published in 
accordance with sections 751(a)(1) and 777(i)(1) of the Act and 19 CFR 
351.221(b)(4).

    Dated: April 2, 2013.
Paul Piquado,
Assistant Secretary for Import Administration.

Appendix

Analysis of Programs

I. Programs Preliminarily Determined to be Countervailable
    A. Deduction from Taxable Income for Export Revenue
    B. Short Term Pre-Shipment Rediscount Program
    C. Law 5084: Withholding of Income Tax on Wages and Salaries
    D. Law 5084: Incentive for Employers' Share in Insurance 
Premiums
    E. Law 5084: Allocation of Free Land and Purchase of Land for 
less than Adequate Remuneration (LTAR)
    F. Law 5084: Energy Support
    G. Organized Industrial Zone (OIZ): Exemption from Property Tax
    H. Corporate Income Tax Exemption under the Free Zones Law
II. Programs Preliminarily Determined To Not Confer Countervailable 
Benefits During the POR
    A. Inward Processing Certificate Exemption
    B. Investment Encouragement Program (IEP): Customs Duty 
Exemptions
    C. Provision of Buildings and Land Use Rights for LTAR under the 
Free Zones Law
III. Programs Preliminarily Found Not Countervailable
    A. Deductions on Social Security Payments Program under Law 5510
    B. Deductions on Social Security Payments Program under Law 5921
    C. Customs Duties and Value-Added Tax (VAT) Exemptions under the 
Free Zones Law
IV. Programs Preliminarily Determined to Not Be Used
    A. Stamp Duties and Fees Exemptions under the Free Zones Law
    B. Other Programs Not Used
     Post-Shipment Export Loans
     Export Credit Bank of Turkey Buyer Credits
     Subsidized Turkish Lira Credit Facilities
     Subsidized Credit for Proportion of Fixed Expenditures
     Subsidized Credit in Foreign Currency
     Regional Subsidies
     VAT Support Program (Incentive Premium on Domestically 
Obtained Goods)
     IEP: VAT Exemptions
     IEP: Reductions in Corporate Taxes
     IEP: Interest Support
     IEP: Social Security Premium Support
     IEP: Land Allocation
     National Restructuring Program
     Regional Incentive Scheme: Reduced Corporate Tax Rates
     Regional Incentive Scheme: Social Security Premium 
Contribution for Employees
     Regional Incentive Scheme: Allocation of State Land
     Regional Incentive Scheme: Interest Support
     OIZ: Waste Water Charges

[[Page 21109]]

     OIZ: Exemptions from Customs Duties, VAT, and Payments 
for Public Housing Fund, for Investments for which an Income 
Certificate is Received
     OIZ: Credits for Research and Development Investments, 
Environmental Investments, Certain Technology Investments, Certain 
``Regional Development'' Investments, and Investments Moved from 
Developed regions to ``Regions of Special Purpose''
     Foreign Trade Companies Short Term Export Credits
     Pre-Export Credits
     Pre-shipment Export Credits
     OIZ: Exemption from Building and Construction Charges
     OIZ: Exemption from Amalgamation and Allotment 
Transaction Charges
[FR Doc. 2013-08236 Filed 4-8-13; 8:45 am]
BILLING CODE 3510-DS-P